A total of 30 of Conservative MPs refused to support the Prime Minister and sided with Labour in opposing a Government motion which supported the principle of military intervention.

The motion backing the use of force "if necessary" was rejected by 285 votes to 272, a majority of 13 votes.

It is the first time that a British Government has been blocked from executing a military deployment and highlights the deep mistrust of official intelligence in the wake of the Iraq war.

The United States could now be forced to take action in Syria without the UK, one of its most important allies.

Mr Cameron had hoped to join America in launching cruise missile strikes against the Syrian regime as soon as this weekend after Bashar al-Assad was accused of deploying chemical weapons in a suburb of Damascus last week.

The Prime Minister had played a leading role in persuading President Obama of the need for action against Syria – with Britain tabling a draft United Nations resolution – and the Parliamentary vote may also undermine Mr Cameron’s international reputation.

Philip Hammond, the Defence Secretary, has warned that the “special relationship” between America and the UK will be damaged by the rebellion.

Mr Osborne said that “Parliament has spoken” and indicated that the chance of intervention in Syria is now over.

He said that following the Commons vote, the UK will now have do decide if it “wants to play a big part in upholding the international system”.

Speaking to BBC Radio 4’s Today programme Mr Osborne said: “There will be national soul-searching about our role in the world and whether Britain wants to play a big part in upholding the international system - being that big open and trading nation that I like us to be or whether we turn our back on that.

“I understand the deep scepticism that many of my colleagues in Parliament, many members of the public have, about British military involvement in Syria. I hope this doesn’t become a moment when we turn our back on all of the world’s problems.”

Mr Osborne suggested that Mr Cameron wanted to put the issue to a vote because he did not want to repeat the mistakes of Tony Blair, the former Prime Minister, in the build-up to the Iraq war.

“We’re not trying to make a fetish of division as perhaps a previous Prime Minister did,” Mr Osborne said. “We’re trying to say, ‘look we understand, we get it, we understand the country is not with us and we respect that - as a result Britain’s not going to be involved in any military action’.”

After the Commons vote Ed Miliband, the Labour leader, said that the Prime Minister had lost the vote because of his “impulsive and recklessleadership”.

Mr Cameron is sure to face calls to resign after his authority was undermined by so many of his own backbenchers.

Crispin Blunt, a Tory rebel and former minister, said he would be “delighted” if the rebellion stops the “imperial pretentions” of the Government.

“That is my position,” he said. “If that is a consequence of this vote then I will be absolutely delighted that we relieve ourselves of some of this imperial pretention that a country of our size can seek to be involved in every conceivable conflict around the world.”

He said it was “highly doubtful” that British involvement in Syria would have been “effective” in deterring the Assad regime from using chemical weapons .

Asked if Mr Cameron’s authority had been diminished by the vote Mr Blunt said: “Temporarily but I think the economy is recovering…it is a temporary blip.”

Dr Sarah Wollaston, another Tory rebel, said: “This was Parliament replicating the view held very widely throughout the country that we should not be drawn into another Middle East conflict.”

However, Lord Ashdown, the former Liberal Democrat leader, said: “This country now seems to be plunging itself towards isolationism. We want to leave Europe on the one hand and we’re failing to join an international coalition to support international law on the other.

“I mean, look, I may be just a sort of old warhorse from a different age but I fear as I wake up this morning, I think our country is a hugely, hugely diminished country. We have now refused to take part in an international coalition led by a democrat president.”